Filling downtown office space aim of legislation

TimLandis

Tuesday

May 22, 2007 at 12:01 AMMay 22, 2007 at 10:22 PM

SPRINGFIELD -- Legislation that would give preference to downtown historic districts for state government office space is on its way to the governor, though even supporters acknowledge the measure is more advisory than mandatory.

By TIM LANDIS

BUSINESS EDITOR

SPRINGFIELD -- Legislation that would give preference to downtown historic districts for state government office space is on its way to the governor, though even supporters acknowledge the measure is more advisory than mandatory.

Downtown Springfield Inc. was among groups pushing for the bill after releasing a report early this year showing 17,200 state employees working in a 22-block area of downtown at the end of 2006, a drop of about 2,000 since 2003.

The same report found there is approximately 650,000 square feet of vacant office space downtown, including several former state offices left empty by job cuts, early retirements and agency consolidation.

“You’re not going to expect the state to spend four times a month more than they normally would. But I think what this bill will do is make downtown Springfield, or any commercial district, at least number one or two on their list when they’re looking for space,” said Victoria Clemons, executive director of Downtown Springfield Inc.

The legislation requires the state to give preference to historic and downtown commercial districts only when it is “operationally appropriate and economically feasible.” Excluded from the requirement are correctional facilities, state parks, highways and expansions of current state facilities.

State Rep. Rich Brauer, R-Petersburg, sponsored House Bill 1355. The lieutenant governor’s office, which coordinates the state Main Street program of downtown preservation and development, also supported the legislation.

Clemons said there actually are few ground-level, store-front vacancies left in the immediate area of the Old Capitol Plaza. But she said the gradual departure of state employees has had an effect on downtown commerce.

“It has a significant commercial impact, whether you’re buying a car, buying a gift or whether you’re going out to lunch,” she said.

Another major office consolidation begun this spring actually could increase the number of state employees, at least immediately south of downtown. The Illinois State Police has begun transferring employees from the state Armory building at Second and Monroe streets to the AIG American General complex at Sixth Street and Lawrence Avenue.

State police expect to eventually move up to 700 employees into the building from various locations around Springfield. AIG sold the property to the state earlier this year and is sharing the space until a new company service center is completed in early 2008 on the city’s west side.

AIG has about 460 employees in Springfield.

“As far as commerce, we think that’s going to have a significant effect,” Clemons said of the state plans.

The chairman of a downtown business-retention committee said the age of some of the former state office space has been a challenge, but that the biggest problem in leasing the space is the sheer size.

“A lot of it is just that there was so much vacancy at one time. In a town the size of Springfield, it just takes some time, especially when the state is historically one of the biggest office users,” said Curtis Tillett.

Tillett said he also is working on meetings with representatives of the Department of Central Management Services, which handles state properties and leases.

CMS spokeswoman Sue Hofer said the administration has remained neutral on the legislation, but that the agency already has a policy of locating state office space in historic and downtown commercial districts when possible.

“I don’t think the statute would require us to use offices in central business districts,” she said, adding that the problem is not confined to Springfield.